Coach Getting Serious About Dividends
- April 21, 2010
- Dividend Investing, Dividend News, Dividend Stocks
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High-end retailer Coach (COH: 74.04 +1.13%) seems to be getting serious about dividends. The company announced yesterday that they are doubling their cash dividend to $.60 per share annually.
Following the dividend increase, Coach will offer income investors a current yield of 1.4%.
Lew Frankfort, Chairman and Chief Executive Officer of Coach, commented that the dividend increase reflects “our financial strength and our confidence in Coach’s business outlook.”
The dividend announcement comes as Coach reported net income increased 37% in their fiscal third quarter. The company is optimistic about the future and particularly the opportunity to expand into China.
The company also announced that their Board of Directors has authorized the repurchase of up to $1 billion of its outstanding common stock by June 30, 2012.
